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KPS portfolio company acquires CWS Industries

KPS Capital Partners’ portfolio company International Equipment Solutions has acquired, through an indirect wholly owned subsidiary, CWS Industries. 



 

This is the fourth acquisition by IES since its formation. Financial terms of the transaction were not disclosed.

KPS formed IES in September 2011 as a platform for investments serving the construction, agriculture, landscaping, infrastructure, recycling, demolition, mining, and energy industries. At that time, KPS announced IES’s first two acquisitions, Paladin Brands Holding and Crenlo from Dover Corporation. 

In November 2011, Stephen Andrews was retained as chief executive officer of IES to lead the integration of the first two acquisitions and to grow and globalise the company. As part of its globalisation strategy, IES acquired Siac do Brasil, a manufacturer of cab enclosures in Brazil, in June 2012.  

CWS is a manufacturer of highly-engineered attachment products, including tire manipulators, cable reelers, grapples, buckets and various large excavator attachment products.  Its customers include a global network of dealers and end-users in the mining, oil and gas, forestry and construction markets. The company employs 140 people at two facilities, located in Surrey, British Columbia and Edmonton, Alberta, Canada.

Raquel Palmer (pictured), a partner at KPS, says: "We are very proud of the progress IES has made to date. In only a brief ten months, KPS has created a truly global manufacturing company as a result of four highly synergistic acquisitions. The company has dramatically improved its profitability under our ownership and exceeded all of our expectations for growth. IES continues to capitalise on opportunities to grow its business internationally, and we believe that with each acquisition and subsequent integration, IES increases the value proposition offered to its customers."

Stephen Andrews, chief executive officer of IES, says "The acquisition of CWS is another important step towards the globalisation and diversification of IES. We are very impressed with CWS’s rapid growth trajectory, customer base, engineering capabilities and broad portfolio of highly engineered attachment products."

Financing for the transaction was provided by a syndicate of institutional investors agented by Regiment Capital Advisors and PNC Bank, National Association.

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